If you are an Indian student going to study in Canada, then opening a student GIC account is usually expected.

A GIC account serves as the best proof of funds when applying for your Canada Study Permit (student visa).

Note: Canada GIC Account ≠ Canada Student Account. 

GIC stands for Guaranteed Investment Certificate. It is an investment account. Once a student lands in Canada, they must open a separate student account (apart from their GIC Account) with any bank (usually students open both GIC and student account from the same bank. It makes the process easy for them). Funds from your GIC account can be fully or periodically deposited into your student account (depending on the bank).

When it comes to choosing a GIC program, the 6 foremost options for Indian students are Scotiabank (also known as the Bank of Nova Scotia), CIBC, ICICI Bank Canada, SBI, and Bank of Montreal (BMO).

Let us take a look at the features of each GIC program, its pros – cons and which one will be best for Indian students.

Comparison of GIC of Scotiabank, CIBC, ICICI Bank Canada & SBI

1. Scotiabank

Scotiabank GIC Program
Interest Rate	2.75 – 2.85% ( Scotiabank GIC Interest Rates )
Investment Amount	$20,635 CAD
Program Fee	$200 CAD
Initial Expenses Deposit To Your Student Account	$4,127 CAD + Interest
Monthly Deposit To Your Student Account	$1,376 CAD + Interest (for 12 Months if investment amount is $20,635 CAD)
Online Application	✓ Available
Application Processing Time	2-5 working days (Account Registration + Wire Transfer + Issuing GIC Certificate)
Number of Branches in Canada	900+

Scotiabank, i.e. The Bank of Nova Scotia is one of Canada’s biggest 5 banks along with CIBC.

Its GIC Program is fairly popular with Indian students and one can apply for it online from India itself.

Pros

• 900+ Branches and 3600 ATMs (AMBs – Automated Banking Machines) – Scotiabank has a high number of branches and ATMs. Chances are whichever city you are going to in Canada will be having a Scotiabank branch. In case of visiting your bank for any sort of issue resolution with regards to your account, having a branch nearby always reduces the travel hassles involved. However, it should also be noted that in this age of digital banking gaining widespread acceptance, especially among students, visiting a bank branch to resolve any issues is an outlier rather than the norm. Most issues can be resolved through online banking and phone support.

Cons

1. Strict application process – This is probably one of the biggest gripes students have with GIC from Scotiabank. The success rate of a GIC application is not as much as that of other banks. Any slight errors in your application will result in a delay in receiving your GIC certificate. While this is true of all banks, Scotiabank especially has a reputation for a strict application process.

Note: One of the most common errors is a mismatch of the address given in the GIC application form and passport of the applicant.

2. CIBC

CIBC GIC Program
Interest Rate	2.50 – 3.10% ( CIBC GIC Interest Rates )
Investment Amount	$10,000 CAD – $20,000 CAD
Program Fee	Nil
Initial Expenses Deposit To Your Student Account	$2000 CAD to $12,000 CAD
Monthly Deposit To Your Student Account	approximately $1,000 CAD + Interest (8 payments over 12 Months)
Online Application	✓ Available
Application Processing Time	2-5 working days (Account Registration +Wire Transfer + Issuing GIC Certificate)
Number of Branches in Canada	1050

Canadian Imperial Bank of Commerce is another mainstream bank in Canada that offers a GIC program to students from India.

They are particularly renowned for their faster application processing, application fee waiver and higher application acceptance rate.

Also, upon opening a student account with them, you get the option of availing a Student Credit Card having no annual fees and plenty of cashback, and travel benefits.

Pros

1. No processing fees
2. Faster Application processing time – 2 to 4 days which is one of the quickest times among all banks on this list
3. Higher number of branches and ATMs
4. High application acceptance rate
5. Student-friendly features – Student Credit Card

Cons

1. Students shall receive only 8 payments over 12 months. The problem with this is that most students will be accustomed to budgeting for their monthly expenses, and getting their GIC amount once in 1.5 months puts that into an inconvenience. Another issue is that when having a relatively bigger sum of money in hand, there is the possibility of overspending.

3. ICICI Bank Canada

ICICI GIC Program
Interest Rate	1% ( ICICI GIC Interest Rates )
Investment Amount	Amount required under the student’s study program
Program Fee	$200 CAD + $25 intermediary bank charge
Initial Expenses Deposit To Your Student Account	10-50% of the total amount
Monthly Deposit To Your Student Account	Equal installments of the rest 90 – 50% + Interest (for 12 Months)
Online Application	✓ Available
Application Processing Time	2-5 working days (Account Registration +Wire Transfer + Issuing GIC Certificate)
Number of Branches in Canada	14 ICICI branches + over 1200 RBC branches

ICICI Bank Canada should not be confused with ICICI Bank India.

Both are part of ICICI but independent of each other.

ICICI brand name is quite familiar to most of the students here. The prospect of dealing with a familiar bank for GIC feels reassuring for most. Now, they have collaborated with the Royal Bank of Canada (RBC) to issue GIC accounts to students.

But the fact is that be it ICICI Bank Canada or Scotiabank, the procedure to apply for GIC and student account remains the same.

Let’s look at some of the advantages and disadvantages of choosing ICICI Bank Canada for your GIC.

Pros

1. Even though the process of opening a GIC is the same as other banks, you may enjoy some advantages such as getting your RBC or ICICI Bank Canada Debit Card to your address in Canada (depending on your banking option).
   

   Read: All you need to know about GIC account in Canada for Indian Students

2. ICICI Bank Canada app provides money transfer from Canada to India option within their app itself. Students would find this especially useful for sending money back to India.
3. Students have multiple GIC amount withdrawal options. They can choose from an instalment-based withdrawal, a redeemable GIC where the whole amount can be withdrawn after the maturity period like an FD, or redeem the full amount upfront on arrival.
4. Students can get a credit card from RBC with a limit of up to $2,000.
5. Students can add additional funds to GIC account and make it a long term saving option.

Cons

1. The most obvious con is the number of ICICI Bank Canada branches and ATMs in It only has a total of 14 branches across Canada. However, this disadvantage is mitigated because of the following reasons;

• ICICI Bank Canada offers online activation of your GIC account through their app. Also, they have a tie-up with Canada Post, allowing you to complete your in-person verification from 6000+ locations across Canada. Thus, you don’t have to visit an ICICI branch to complete your GIC account-related procedures.
• They have over 3,000+ ABMs (Automated Banking Machines / ATMs) in their network in Canada. While not all are free to use, their app shows the location of free ATMs in their network close to your location.
• Now, they have collaborated with the Royal Bank of Canada to issue student GICs. If you open a GIC account via this method, you’ll get the network support of RBC.

4. SBI Canada

SBI GIC Program
Interest Rate	1.05% ( SBI GIC Interest Rates )
Investment Amount	$20,635 CAD
Program Fee	$150 CAD
Initial Expenses Deposit To Your Student Account	$4,135 CAD
Monthly Deposit To Your Student Account	$1,375 CAD + Interest (for 12 Months)
Online Application	✓ Available
Application Processing Time	2-5 working days (Account Registration +Wire Transfer + Issuing GIC Certificate)
Number of Branches in Canada	6

On this list, SBI Canada is the least popular option among students. Not many students opt for GIC from them. This could be because of the very low number of SBI Canada branches in Canada.

Also, the general perception among students is that other banks have a more robust customer support team compared to SBI that can guide in applying for and opening a GIC account.

Even though ICICI Canada shares this same disadvantage with SBI Canada, where it shines through more is the perception of better service.

SBI too has a tie-up with Canada Post for completing the Identity Verification process of GIC accounts. Also, just like in the case of other banks, funds must be transferred to your GIC account in Canada as CAD only. That is a wire transfer from India to Canada by converting INR to CAD.

Pros

1. YONO SBI Canada Bank app lets you transfer money from Canada to India easily.
2. Through the app, you can also manage your SBI account in India.

Cons

1. Low number of branches – only 7 across Canada
2. People’s perception of their customer care is not that great.
3. Students intending to study in Quebec cannot open a GIC account with SBI Canada.

5. Bank of Montreal

Bank of Montreal GIC Program
Interest Rate	approx. 2.65% (BMO interest rates)
Investment Amount	$20,635 CAD – $75,000 CAD
Program Fee	$150 CAD
Initial Expenses Deposit To Your Student Account	$6,635 + Interest
Monthly Deposit To Your Student Account	10 payments of $1,400 every month and applicable interest amount paid on last payment
Online Application	✓ Available
Application Processing Time	2-5 working days (Account Registration + Wire Transfer + Issuing GIC Certificate)
Number of Branches in Canada	900+

The Bank of Montreal is one of the oldest banks in Canada, starting its operations back in 1817. It is also one of the big 5 banks in Canada having a huge number of customers across Canada.

Bank of Montreal’s Student GIC Program has been designed to support international students, offering them a way to meet the financial requirements of their Canadian student visa, while also providing a secure method for managing their funds in Canada.

Pros

• Can Invest up to $75,000 CAD – Indian students going to Canada can invest more than the base GIC amount of $20,635 CAD. This offers two advantages. The GIC payout will be correspondingly higher and students will receive more money to manage their expenses in Canada. The second advantage is that the extra money deposited acts as a safety net in case of any emergencies that might arise during their study period. It’s always good to have some extra money in hand for such situations.
• 900+ Branches and 1400 ATMs – BMO’s branch and ATM network, which admittedly is only present in key areas of Canada, will be accessible to most students. Typically, students going from India to Canada mostly stay in major population centres where the likelihood of having a BMO branch or ATM is incredibly high. Thus students will be able to visit a nearby BMO branch or instantly withdraw money from a BMO ATM in case of an emergency.

Cons

1. Branches and ATMs not found in remote locations – Areas like Nunavut which are remote and far from regular human settlements have no BMO branches and ATMs. This is not a big con which in any practical way affects Indian students looking to open a GIC account in Canada. So this can be safely overlooked.

Open a GIC account through ExTravelMoney.com ●      ExTravelMoney.com has tie-ups with ICICI Bank Canada, CIBC, Bank of Montreal and Scotia Bank. Open a GIC account easily with either of these banks at no additional cost & get additional benefits. Open GIC Account ●      Transfer your GIC amount from India to Canada at the best exchange rate through us and save as much as 5% compared to transferring through other banks. ●Open a CIBC or ICICI Bank Canada GIC account with ExTravelMoney and get Rs 3000 off on your first fund transfer of more than CAD 10,000 at ExTravelMoney.com. ExTravelMoney.com – Transfer Money to GIC Account in Canada from India ●      Easy KYC Verification process. Instant account opening & exclusive offers!

 

To Summarize;

If you are low on time and need to immediately open a GIC account, then go for CIBC. They offer a lot of student-friendly features.

If you don’t have any time constraints and would like to put in a huge amount in your GIC account, go for Bank of Montreal. On the other hand, if you prefer a lower investment, ICICI Bank Canada is a pocket-friendly choice.

Compare and select the bank that best suits your needs.

Also Read: The Complete Guide For First Time Indian Students In Canada

Comments